Community Amateur Sports Club (CASC) - HANDY LINKS
If you are thinking of becoming a CASC review the CASC site: An overview and things to think about pages on the Club Matters (note you will need to register and log in to review the interactive guidance)
For a full overview from HMRC click here
For larger clubs considering using a trading subsidiary look at section 3 of the Club Matters guide CASC: Using a trading subsidiary
If you are considering incorporating a CASC, review HMRC guidance here:
For an overview of different ways to structure your club, look at the Club Matters club structures pages
If you are a multi-sport club, remember to review HMRC guidance multi-sport annex to see how the CASC rules apply to these clubs
For more information on the 12 month grace period and deregistration process click here
Finally, for governing bodies and others wanting details of all CASC clubs, HMRC has a full list. Click on the link to find out more.
CASC Status - FAQs
1. What is CASC status?
It is a special status for tax purposes. Qualifying clubs register with HM Revenue & Customs following a simple application process.
2. How will CASC status benefit my club?
CASC status can save your club money.
By registering under the Community Amateur Sports Club scheme it will receive:
80% mandatory business rate relief a tax rebate from the Government of 28.2p for every £1 donation from an individual to the club tax exemptions on income and gains.
On average these benefits have been worth around £3,000 per year to a registered CASC.
3. What should my club do to be eligible?
Most local cricket clubs can qualify if:
a. they are community focused and open to all, and;
b. have a core purpose of promoting amateur cricket, and;
c. they re-invest any income back into the club.
4. How does my club become a CASC?
Becoming a CASC could not be more straightforward for most cricket clubs by following 3 simple steps:
I. Reading and discussing HM Revenue & Customs Guidance on www.hmrc.gov.uk and CCPR's CASC website www.cascinfo.co.uk to decide whether CASC status is appropriate for your club.
II. Reviewing the club's constitution and rules to ensure that they are consistent with the CASC rules. If not you will need to change them.
III. Completing and submitting the HMRC CASC application form.
5. If we register as a CASC will we in effect be giving the club's assets to the Government?
No. The members will still be able to use all of the club facilities and the club will own them. However the members will no longer be able to receive any distributions from the club nor any surplus assets if the club is ever wound up.
6. Can we continue to restrict membership of the club?
No. The club must be open to all without discrimination and there must be equal access for members to all of the club's facilities. Clubs can refuse membership where they have good reason to believe that the applicant would be a disruptive influence or prejudice the good conduct of the club – but there must be no discrimination.
7. Can we pay players?
No. Players cannot be paid to play although you can reimburse their travel expenses to away matches. Members who play can be rewarded for performing some other role e.g. for acting as a bar steward or groundsman or coaching as the club professional.
8. Can my club carry on social activities?
Yes, but the club must direct most of its efforts towards promoting cricket not running a bar. HMRC would expect the majority of club members to be involved in cricket in some capacity.
9. Can the club claim Gift Aid on subscriptions?
Membership fees cannot be treated as gifts and are therefore not eligible for Gift Aid.
10. Does my club have to have CASC status to be able to claim Gift Aid?
In order to claim Gift Aid your club must have either CASC or charitable status. Both require registration with HMRC and the Charity Commission respectively.
11. Can my club de-register?
No. The general rule is "once a CASC always a CASC "but HMRC can de-register a club and in that event the club could face a substantial capital gains charge on its property. Before registering as a CASC club members should be sure that they want to maintain the club for use within the community and not make any private profit out of it, e.g. by selling its land and distributing the proceeds to members. If the CASC rules were broken inadvertently HMRC would normally give the club the opportunity to put matters right before de-registering it.
12. Will HMRC or the Local Authority interfere in the running of the club once it is registered?
No. HMRC will ask the club to submit tax returns if there is corporation tax to pay and may audit any tax repayment claims. Local Authorities have no involvement in the CASC scheme - they are obliged to grant 80% mandatory rate relief when presented with a letter from HMRC confirming the club's CASC status.
Richard Baldwin, Chair, CASC Development Forum, March 2010
Community Amateur Sports Clubs ( CASC's ) that receive donations with nothing given in return can get tax rebates for the last 6 years provided they were registered when the donation was received. They must however make a claim before 31st March 2010 since after that date they can only go back 4 years. One of the benefits of being a CASC is that Gift Aid is available so that a donation of £10.00 can result in a tax refund of £2.82: cricket clubs have often overlooked this but now is there chance to go back and review the position .The club must obtain the appropriate Gift Aid declarations from the donors. A donor's single declaration can cover all gifts made to date and in the future so this is not as difficult as it may sound. The sums for the last six years can be substantial and will also include interest. Qualifying donations of £1,000 pa for the last 6 years will result in a tax refund of nearly £1,300 so it's worth it. Cricket club Treasurers should act now before the time limit reduces!
Richard Baldwin- Chair, CASC Development Forum
16th March 2010